Ruffer duo: November sell-off was a 'dress rehearsal' for future asset price shifts

The manager duo said Donald Trump's victory in the US Presidential Election at the start of last month created a "stress test" for the portfolio, which they believe has held up relatively well given this backdrop. The month saw a sharp sell-off in bonds across the globe, with benchmark 10-year Treasury yields jumping from 1.8% prior to the election to 2.4% (currently trading at 2.34%).  This move also triggered redemptions from 'bond proxies', which have been popular with investors as a safer equity investment option, and a reversal into cyclical stocks. Over the month of November,...